The rise in VAT

Eight months ago, I did a posting on why value added tax (VAT) would go up whoever won the then impending General Election. Today VAT rose from 17.5% to 20% – the highest ever level.

The tax is regressive and will hit hardest low income families and it comes at a time when the economy is fragile and demand is already threatened by public expenditure cuts and rising unemployment.

This entry was posted on Tuesday, January 4th, 2011 at 10:46 am and is filed under British current affairs. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.

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